What is the 'Development Area' related to the Bananas Smoothies Frozen Yogurt franchise?
Bananas_Smoothies_Frozen_Yogurt Franchise · 2025 FDDAnswer from 2025 FDD Document
We grant to persons who meet our qualifications and are willing to undertake the investment and effort, the right to develop and operate multiple EYB Concepts located within a defined geographic area.
- (b) unless otherwise specified in Paragraph 3.1 (a), Developer has no exclusive rights in or to the Development Area, and, in addition to those rights specified in Section 3.2, Paragraphs 3.2 (a), (b), (c), (d) and (e), Franchisor may establish, sell, license others to open or operate EYB Concepts anywhere within the Development Area.
If Paragraph 3.1 (a) specifies the Development Area is exclusive, then, while this Agreement is in effect provided that Developer opens and operates the EYB Concepts in accordance with the Development Obligations set forth in Paragraph 3.3, sub-paragraphs 3.3 (a) and 3.3 (b), and that the minimum number of EYB Concepts Developer has operating in the Development Area at any given time is not less than the minimum required pursuant to the Minimum Development Quota (Development Schedule), Franchisor will not operate, or license any person other than Developer to operate, an EYB Concept under the Marks and the System within the Development Area.
Any exclusive area you are granted will exclude non-traditional venues, including airports, university and college campuses, hospitals and medical centers, sports or entertainment venues and military or other government owned facilities within the Development Area.
3.2 Rights Retained. Franchisor retains the right in its sole control to:
(a) establish and grant to other franchisees the right to establish EYB Concepts anywhere outside the Development Area, on such terms and conditions as Franchisor deems appropriate (even immediately outside the border of the Development Area, but not the location specified in the Franchise Agreement for any EYB Concept Developer operates under this Agreement and continue to operate);
(b) operate and grant franchises to others to operate businesses, whether inside or outside the Development Area, specializing in the sale of products or provision of services, other than a Competitive Business or an EYB Concept, using certain of the Marks and pursuant to such terms and conditions as Franchisor deems appropriate;
Source: Item 23 — RECEIPT (FDD pages 58–231)
What This Means (2025 FDD)
According to the 2025 Bananas Smoothies Frozen Yogurt FDD, the franchisor grants developers the right to develop and operate multiple Bananas Smoothies & Frozen Yogurt concepts within a defined geographic area. The franchisor retains the right to establish and grant to other franchisees the right to establish Everything Yogurt Brands (EYB) Concepts anywhere outside the Development Area. This can be on such terms and conditions as the franchisor deems appropriate, even immediately outside the border of the Development Area, but not the location specified in the Franchise Agreement for any EYB Concept the Developer operates under this Agreement and continues to operate.
Unless otherwise specified, the developer typically does not have exclusive rights within the Development Area. The franchisor retains the right to establish, sell, or license others to open or operate EYB Concepts anywhere within the Development Area. However, if the Development Area is specified as exclusive, and the developer meets the development obligations and minimum quota, Bananas Smoothies Frozen Yogurt will not operate or license others to operate an EYB Concept under the Marks and the System within the Development Area.
Any exclusive area granted will exclude non-traditional venues, including airports, university and college campuses, hospitals and medical centers, sports or entertainment venues, and military or other government-owned facilities within the Development Area. The franchisor also retains the right to operate and grant franchises to others to operate businesses, whether inside or outside the Development Area, specializing in the sale of products or provision of services, other than a Competitive Business or an EYB Concept, using certain of the Marks and pursuant to such terms and conditions as Franchisor deems appropriate.